AT&T and DirecTV Merger is Good for Workers and Consumers

To: Interested Parties
Fr: Bob Master
Re: AT&T-DirecTV merger
Date: January 20, 2015

As you may know, the Federal Communications Commission is considering a proposed merger between AT&T and DirecTV. This merger is supported by the CWA, the national AFL-CIO and many state AFL-CIOs (including New York’s) because it’s good for working families and consumers.

The merged company will provide employment opportunities for tens of thousands of employees at both companies. And, as you may know, AT&T respects the right of employees to make their own choice about union representation.

It’s also good for consumers, particularly in rural areas that currently may only be served by a single cable provider.

15 million customers will get more high speed broadband competition, mostly in rural areas where AT&T does not provide high speed broadband service today. And they’ll be able to buy that service as a stand-alone option or as part of a bundle – which is increasingly how people buy their telecommunications services.

Because AT&T and DirecTV are for the most part not direct competitors, there is no loss of service. In fact, because the services are complementary (primarily wireless and broadband on the one hand and satellite TV on the other), prices are likely to go down, putting pressure on competing cable providers – benefiting consumers. And for those who don’t want a bundled option, DirecTV’s TV service will continue to be available on a stand-alone basis, at nationwide package prices that are the same for all customers, no matter where they live, for at least three years after the acquisition.

We hope you will join us in supporting this merger which is good for the employees of the two companies and the customers they serve. If you’re interested in expressing public support for the merger, please contact Dan Levitan at 646-452-5637 or dan@berlinrosen.com.